Roundhill Bitcoin Covered Call Strategy ETF (YBTC) Covered Calls
The Roundhill Bitcoin Covered Call Strategy ETF is an actively managed fund that seeks to provide current income and exposure to the price return of Bitcoin-linked ETFs. The fund employs a synthetic covered call strategy, utilizing a combination of options contracts and U.S. Treasury holdings to generate high-frequency income. It is designed for investors who want to participate in the price action of Bitcoin while collecting substantial premiums via a weekly distribution schedule.
You can sell covered calls on Roundhill Bitcoin Covered Call Strategy ETF to lower risk and earn monthly income. Born To Sell's covered call screener gives you customized search capabilities across all possible covered calls but here are a couple of examples for YBTC (prices last updated Tue 4:16 PM ET):
| Roundhill Bitcoin Covered Call Strategy ETF (YBTC) Stock Quote | ||||||
|---|---|---|---|---|---|---|
| Last | Change | Bid | Ask | Volume | P/E | Market Cap |
| 21.70 | +0.27 | 21.69 | 22.13 | 79K | - | 0.0 |
| Covered Calls For Roundhill Bitcoin Covered Call Strategy ETF (YBTC) | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Net Debit | Return If Flat |
Annualized Return If Flat |
|
| Mar 20 | 22 | 0.00 | 22.13 | -0.6% | -19.9% | |
| Apr 17 | 22 | 0.05 | 22.08 | -0.4% | -3.7% | |
| Subscribers get access to the full covered call chain, and more features. | ||||||
Want to make money with covered calls? Sign Up For A Free Trial
Roundhill Bitcoin Covered Call Strategy ETF (YBTC) is a yield-focused investment vehicle that provides indirect exposure to the world’s largest cryptocurrency. Unlike spot Bitcoin ETFs, YBTC is specifically engineered to convert Bitcoin’s characteristic volatility into consistent cash flow through an active derivative strategy.
Core Strategy and Operations
- Synthetic Covered Call Model: The fund does not hold Bitcoin directly. Instead, it creates "synthetic" long exposure using a combination of long call options and short put options on Bitcoin ETPs (principally iShares Bitcoin Trust). To generate income, the fund sells (writes) call options against this position, harvesting the high premiums associated with Bitcoin’s implied volatility.
- Weekly Distribution Schedule: Originally launched with a monthly payout, YBTC transitioned to a weekly distribution model by early 2025. As of February 2026, it typically declares and pays distributions every Thursday, providing shareholders with one of the highest-frequency income streams in the digital asset space.
- Collateral Management: A significant portion of the fund’s assets is held in short-term U.S. Treasuries. These holdings serve as collateral for the options strategy and provide a baseline level of interest income, which complements the option premiums distributed to investors.
Risk Profile and Performance
Because YBTC writes call options, its upside potential is capped during aggressive Bitcoin bull markets. Conversely, the synthetic long position provides significant downside exposure; if the price of Bitcoin drops sharply, the fund’s NAV will decline. The high yield is often a mix of option premium and, in certain market conditions, Return of Capital (ROC). It is considered a high-risk vehicle suitable for tactical income or as a yield-enhancement tool within a diversified crypto-adjacent portfolio.
Competitive Landscape
YBTC competes in a crowded field of Bitcoin income products. Its most direct rival is the YieldMax Bitcoin Option Income Strategy ETF, which follows a similar synthetic call strategy. Other notable peers include the NEOS Bitcoin High Income ETF and the Simplify Bitcoin Strategy PLUS Income ETF. As of February 2026, YBTC maintains a net expense ratio of 0.95%, positioning it as a competitively priced option compared to YieldMax’s 0.99% offering.
| Top 10 Open Interest For Mar 20 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA covered calls | 6. | QQQ covered calls | 1. | CTMX covered calls | |
| 2. | SLV covered calls | 7. | EWZ covered calls | 2. | PATH covered calls | |
| 3. | EEM covered calls | 8. | FXI covered calls | 3. | USO covered calls | |
| 4. | SPY covered calls | 9. | GLD covered calls | 4. | FLY covered calls | |
| 5. | IBIT covered calls | 10. | KWEB covered calls | 5. | ONDS covered calls | |
Want more examples? YBIT Covered Calls | YCL Covered Calls
Risk Disclosure: Trading options involves significant risk and is not suitable for all investors. The information provided on this website is for educational and informational purposes only and does not constitute financial, investment, tax, or legal advice. Nothing contained on this site is an offer to buy or sell, or a solicitation of an offer to buy or sell, any securities or financial instruments.
Covered Call Strategy Risks: While covered call writing is often considered a conservative options strategy, it is not without risk. By selling a covered call, you are limiting your potential upside profit from the underlying stock. You remain exposed to the full downside risk of owning the underlying stock. In the event of a significant decline in the stock price, the premium received may not be sufficient to offset your losses.
No Guarantee of Performance: Past performance is not indicative of future results. Any examples, calculations, or hypothetical scenarios presented on this site are for illustrative purposes only and do not guarantee future returns or outcomes. Market conditions, liquidity, and trading system failures can affect your ability to execute trades at desired prices.
You should consult with a qualified professional advisor and conduct your own due diligence before making any investment decisions. By using this website, you acknowledge that you are responsible for your own investment decisions and agree to release this site and its affiliates from any liability relating to your use of this information. See the OCC's Characteristics and Risks of Standardized Options for more info.
